a. Sales of $183,000 ($162,000 on account; $21,000 for cash). Ignore Cost of Goods Sold. b. Collections on account, $135,000. c. Write-offs of uncollectible receivables, $2,300. At January 1, 2016, Hilltop Flagpoles had Accounts Receivable of $34,000, and Allowance for Bad Debts had a credit balance of $4,000. During the year, Hilltop Flagpoles recorded the following: (Click the icon to view the transactions.) Read the requirements Requirement 1. Journalize Hilltop's transactions that occurred during 2016. The company uses the allowance method. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) (a.) Sales of $183,000 ($162,000 on account; $21,000 for cash). Ignore Cost of Goods Sold. (Prepare a single compound journal entry.) Date Accounts and Explanation Debit Credit Requirements 2016 Accounts Receivable 162,000 Cash 21,000 Sales Revenue 183,000 Record sales for the year. (b.) Collections on account, $135,000. 1. Journalize Hilltop's transactions that occurred during 2016. The company uses the allowance method. 2. Post Hilltop's transactions to the Accounts Receivable and Allowance for Bad Debts T-accounts. 3. Journalize Hilltop's adjustment to record bad debts expense assuming Hilltop estimates bad debts as 4% of credit sales. Post the adjustment to the appropriate T-accounts. 4. Show how Hilltop Flagpoles will report net accounts receivable on its December 31, 2016 balance sheet. Date Accounts and Explanation Debit Credit 2016 Cash 135,000 Accounts Receivable 135,000